Quick Highlights
- Ethena's new framework expands USDe's asset backing, starting with BNB.
- XRP and HYPE are strong candidates for future support in the program.
- USDe's market cap has reached nearly $12B, securing its position.
Ethena Labs Launches Asset Framework for USDe Stablecoin Backing
The Ethena Labs Protocol Risk Committee has unveiled a new “Acceptable Asset Framework” designed to back the USDe synthetic stablecoin. BNB has been approved as the first token under this framework.
According to the committee's statement, XRP and HYPE have also met the criteria and are now candidates for future support in the near future.
Delta-Neutral Strategy and Collateral Requirements for USDe
Ethena uses USDe, a popular stablecoin, to ensure stability through a delta-neutral trading strategy. Collateral assets, like BNB, are used to open equivalent short positions on perpetual contracts, providing a way to manage price fluctuation risks. This approach is commonly employed by options traders to protect against shifts in the value of the underlying asset.
The protocol has set specific minimum requirements for cryptocurrencies to be collateralized, including:
- Daily total open interest in perpetual contracts
- Spot and derivatives trading volumes
- Depth of order books in both markets
"The committee will regularly update the list of assets that meet these risk parameters. Approval doesn’t guarantee immediate usage," clarified Ethena representatives.
USDe's Rising Market Capitalization
According to CoinGecko, USDe’s market capitalization is currently approaching $12 billion, positioning it as the third-largest stablecoin by market cap.
This impressive market share reinforces USDe’s position in the competitive stablecoin landscape, giving it a firm foundation for continued growth and expansion.
